Norway’s $1.7 Trillion Fund Trims Meta, Novo and ASML Stakes

(Bloomberg) -- Norway’s $1.7 trillion sovereign wealth fund pared its stakes in Meta Platforms Inc., Novo Nordisk A/S and ASML Holding NV — all among its top 10 holdings — during the first half of the year.

Norges Bank Investment Management cut its Meta ownership to 1.18% — worth about $15.1 billion as of midyear — from 1.22% at the end of 2023, according to an updated list of investments published Tuesday. The fund held a 1.75% stake in Novo at midyear, down from 1.87% on Dec. 31, while its holding in ASML dropped to 2.54% from 2.61% over the same span.

The fund has traditionally given an annual update on the contents of its portfolio, but will do so twice a year going forward. Apple Inc., Microsoft Corp. and Nvidia Corp. were its three biggest equity investments at the end of June.

Created in the 1990s to invest Norway’s oil and gas revenues abroad, NBIM largely tracks a benchmark index based on a framework handed down by parliament. It’s scheduled to release first-half results on Wednesday.

The fund owned stakes in more than 8,800 companies worldwide at the end of June, with 72% of all investments in equities and about 26% in fixed income. It added shares in its three biggest energy holdings — Exxon Mobil Corp., Shell Plc and BP Plc — while trimming positions in Tesla Inc. and Volkswagen AG.

NBIM has been stepping up efforts to use its clout to influence companies, specifically on issues related to climate change, gender diversity on corporate boards and executive compensation.

It started issuing voting intentions ahead of annual general meetings in 2021 and began submitting its own shareholder proposals last year. This voting season, the Norwegian giant offered a bespoke rationale for why it would be voting against the $56 billion pay package for Tesla Chief Executive Officer Elon Musk, as well as opposing the appointment of Exxon director Joseph Hooley.

(Updates with energy holdings in fifth paragraph.)

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